The Department can enter into tax agreements with specific governmental entities, including tribal governments.

Section 9-11-12.1 NMSA 1978 authorizes the Department to enter into agreements with the following pueblos, tribes or nations to collect any gross receipts tax they impose:

Acoma Pueblo

Cochiti Pueblo

Isleta Pueblo

Jemez Pueblo

Laguna Pueblo

Nambe Pueblo

Picuris Pueblo

Pojoaque Pueblo

Sandia Pueblo

San Felipe Pueblo

San Ildefonso Pueblo

Ohkay Owingeh Pueblo (formerly San Juan Pueblo)

Santa Ana Pueblo

Santa Clara Pueblo

Kewa Pueblo (formerly Santo Domingo Pueblo)

Taos Pueblo

Tesuque Pueblo

Zia Pueblo

Zuni Pueblo

The 19 New Mexico Pueblos acting collectively

Jicarilla Apache Nation

Mescalero Apache Tribe

The agreements provide that if a pueblo, tribe or nation grants a 25% credit against its tax and meets other specified conditions, the state grants a 75% credit against state and local gross receipts tax due from taxpayers who are subject to both taxes (Section 7-9-88.1 NMSA 1978). The taxpayers therefore pay the same tax as they would under state and local taxes alone – dual taxation is eliminated. Tribal taxes apply only to businesses operating on land owned by a tribe or held by the United States in trust for the tribe.